Germany’s inflation eases to 2.8% in preliminary October estimate
The annual rate eased from September’s 3.3%. Economists link the slowdown to a government fuel-tax reduction that runs through December.
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Germany’s annual inflation eased to 2.8% in October 2026 from 3.3% in September, the Federal Statistical Office’s preliminary figures show.
The headline rate measures the change in Germany’s national Consumer Price Index from the same month a year earlier. The lower positive rate means consumer prices rose more slowly, not that they fell below their year-earlier level.
Energy, services and food
| Category | Annual increase | Change from September’s rate |
|---|---|---|
| Energy | 12.2% | Down from 14.9% |
| Services | 2.5% | Slowed |
| Food | 0.4% | Unchanged |
The tax cut and the risks ahead
Silke Tober, an economist at the Macroeconomic Policy Institute, called the German government’s fuel-tax cut the decisive factor behind the slowdown, DW said. The reduction took effect in October and runs through December, although rising crude oil prices partly offset the savings at the pump.
ING bank economist Carsten Brzeski said higher energy costs had not yet spread into broader price increases. Unlike during the 2022 energy crisis, consumers were unwilling or unable to absorb substantially higher prices, he said.
Economists warned that the relief could be temporary. Stephanie Schoenwald, an economist at Germany’s state-owned development bank KfW, said gas and oil prices had risen significantly again in recent weeks, citing continuing conflicts and lower inventories.
The Federal Statistical Office is scheduled to publish final October inflation results on 11 November 2026.
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